Sunday, 30 September 2012
There is an enormous need for affordable housing in Britain, but the new houses and flats being built seem to be for wealthy people either to live in or to let to tenants. Four big houses have just been built near to us, but the least expensive is £3.85 million. Even a bed-sitting room can cost £1000 a month to rent, and small flats are advertised at more than £2000. Yet that would be the mortgage rate on a house costing hundreds of thousands of pounds. So why does the government encourage buy-to-let schemes? We should do the opposite; have a tax regime that encourages landlords to sell their surplus housing. That would bring down house prices and help owner occupation.